M/s. Gawar Construction Limited and Another vs State of Punjab and Others

Sanjay Kishan Kaul, C.J.—We have heard learned counsels for the parties.

We may note at the inception that learned Senior Counsel for the petitioners on instructions withdraws the allegation of bias or malafides against the respondents.

The controversy is in a very narrow compass i.e. that the two petitioners, who formed the JV for submitting the bid in the ratio of 51:49, did not satisfy the financial parameters on account of the fact that petitioner No. 2 could not satisfy the same for a period of 49 days. This is what persuaded the petitioner to suggest that since a different ratio is also permissible, they would change the same to 70:30 in which eventuality again there is no dispute that the petitioners would qualify. The initial bid could also have been made in these terms.

The only controversy raised by the respondents is that this would amount to making certain changes in the bid and as to whether such a course of action is permissible or not.

Learned senior counsel for the petitioners has clarified that the issue of the absence of a registered document in this behalf would not be a hindrance for the reason that the JV agreement itself envisages that the two petitioners can change the ratios and it is in pursuance thereto that they had done so.

There is of course some controversy as to whether the petitioners went to the respondents and were orally informed of the same or as stated on behalf of the respondents that they never did so. Be that as it may, the fact remains that the bid of the petitioners was Rs. 17 crores lower than the next bid.

Learned counsel for respondents No. 2 and 3, on instructions of Dr. Sumit Kumar, IAS, Additional Commissioner, Municipal Corporation, Amritsar, has given a fair proposal to resolve the controversy. He has stated that the respondents will re-notify the bid within a period of 21 days and in case the lowest bid so received is more than the bid submitted by the petitioners, the petitioners would be considered.

The petitioners are not required to participate at this stage, but in the aforesaid eventuality, the petitioners will be called for negotiation to match the lowest bid.

The aforesaid is acceptable to learned senior counsel for the petitioners on instructions.

We, thus, dispose of the petition in the aforesaid terms.

We appreciate the efforts of the learned counsels for the parties to resolve the dispute amicably.